Oil & Energy
The Middle East And Global Tsunami
The extraordinary events in Tunisia, Egypt and Libya are the initial high tides of an eventual tsunami that will impact the world that globalists have so fervently promoted for decades, in ways not necessarily to their liking. The first wave has struck and is now retreating from the shore, but will shortly return with redoubled force, and what and who will be swept away and what will be left standing is anyone’s guess.
Per usual, America’s intelligence agencies on which $60 billion a year is lavished, or $200 for every man, woman and child in the United States, have given zero benefit to the American citizenry in anticipating events in the North African Magreb, as the Central Intelligence Agency (CIA) along with America’s 15 other federal intelligence agencies were completely blindsided by the events, if public information is to be believed. If any comfort can be had in this, it is the fact that America’s favourite bête noire, al Qaida, much less other Islamic fundamentalists such as the Islamic Brotherhood in Egypt, were apparently caught flatfooted as well.
As “Beltwayistan” frantically tries to conceptualize events in North Africa now threatening the larger Muslim world, Washington’s pundit class has tried a number of insta-definitions to explain events.
First, it was an “Arab’ thing. Secondly, a “Muslim’ thing, where dark forces, epitomized by the Muslim Brotherhood and Al Qaida lurking in the wings, were standing poised to hijack events and turn Egypt and now Libya into an Islamic state, with de facto hostility to the West and in particular, towards America’s client state, Israel, threatening the 1979 Camp David accords.
To use an American English cliché, the “bottom line” is that what’s happened in Tunisia, Egypt and now Libya represent an ominous turn for Western (read American) interests in the Middle East. Like a Greenland glacier weakened by global warming, the Middle East system of stability carefully crafted by Western interest focused on the region’s energy reserves over the last 50 years has begun suddenly to fracture and crumble, and what will replace it is uncertain at best.
In reality, complex as the origins for the North African unrest are, major aspects of them are simply incomprehensible to American GS-17 “specialists” in Washington earning six-figure salaries, along with the hordes of denizens of the Dilbert cubicles cloistered in the NSA’s Fort Meade and the CIA’s Langley environs, sifting through the massive amounts of data hoovered in each day by the Echelon intelligence network.
What these “experts” have overlooked in their analysis over events are two critical issues – the massive poverty and income disparity of the states undergoing protests, but even more importantly, the presence of an aware youth, plugged into the digital age since childbirth, questioning the status quo.
Interestingly, and also largely overlooked by Western commentators, is that the region’s favorite bête noirs has been apparently totally blindsided by the recent events in the Magreb. For the Arab world, this includes the CIA and Israel’s Mossad, which are usually seen behind every political event in the region. While such information is tightly held, there is every indication at this stage that both intelligence agencies, vaunted for their abilities, particularly in their native countries, were caught totally flatfooted by the recent events in North Africa.
For the aforementioned two agencies, their initial attempts along with the Western media to portray events in Tunisia, Egypt, Libya and now destabilizing Jordan, Yemen and Bahrain as part of a nefarious, long developed part of a master plan by Islamists to topple their respective regimes have similarly proven to be as false as those peddling them.
Islamic militants in recent events have been conspicuous by their absence, not in the vanguard of events mobilizing popular support streaming into the streets, nor taking advantage of the resultant political chaos to bring the masses over to their side in proclaiming that whatever succeeds the newly toppled old regime will have a predominantly Islamic tinge. Nowhere have these Western and Israeli fears been more assiduously stoked than in Egypt, where the deep rooted and long banned Islamic Brotherhood maintains a formidable presence.
Given the absence of the region’s favorite evil covert intelligence agencies as well as the West’s mirror imaged paramount and paranoid fears of covert Islamic fundamentalist jihadis, the causes for the unrest roiling North Africa must be sought elsewhere.
They lie in two root causes simply off the pundit’s and intelligence service’s radar – poverty and the emergence of a bright, computer literate generation, the first in world history, that sees its options for a decent livelihood, much less prosperity, blocked by a brutal plutocracy designed exclusively to profit the scions of the ruling class, while their corrupt governments buy off Western criticism by waving the specter of Islamic fundamentalism.
The catalyst? The suicide on 17 December of Tarek el-Tayyib Mohamed Ben Bouazizi, a Tunisian street vendor who set himself alight in the town of Sidi Bouzoud, a poverty stricken locale with an unemployment rate of 30 percent, after being harassed by officials who confiscated his pushcart’s wares of fruit and vegetables, harassing and humiliating him. Nothing to see here, move along.
Except the Tunisian people did not. While the government clamped down on the Internet, tech-savvy young Tunisians quickly evaded the restrictions and furthermore, used cutting edge digital facilities such as Twitter and Facebook to spread the word about events. The anger and violence against President Ben Ali mounted to the point where he fled Tunisia for Saudi Arabia with his family on 14 January, which now seems a lifetime ago.
The Tunisian “jasmine revolution” and the subsequent events in Egypt and Libya now igniting unrest throughout the Middle East were instigated and largely belong to the dispossessed Twitter generation. This is a far larger development than is being portrayed with global implications. The pundits who have prattled on for years about “globalization” are now seeing the first stirrings of that and are furiously explaining away their lack of foresight as they assumed that globalization’s benefits would forever benefit the ruling classes while those at the bottom of the economic food chain would continue to remain, as they have for decades, quiescent and passive, awaiting the “trickle down” benefits from the tables of their masters which in fact never arrived. Reaganism on a global scale.
If poverty were the sole cause of social and political unrest, then as Karl Marx once observed, the poor would be in a constant state of turmoil. But millions of educated young Middle Easterners can now use the Internet and other digital media and have become aware of their situation and the grotesque financial inequities in their countries making their training largely worthless for finding employment, and unlike their parent’s generation, have mobilized for change.
What has largely been overlooked by Western intelligence agencies in their eagerness to find fundamentalists underpinning events in the Magreb is that the events of the last five weeks have not only been initiated by economic issues of extreme poverty, but the emergence of a global phenomenon largely overlooked up to now, the emergence of the world’s first totally computer literate generation, that can circumvent Internet restrictions.
The implications of the emergence of this generation, technologically literate and noting the disparity between their lives and the persistent, hypocritical bleatings of Washington about democracy have proven a potent mix and not only underlay today’s events, but are ominous harbingers for those affluent international plutocrats looting worldwide on the assumption that those young will forever passively accept the same conditions as their downtrodden parents.
Another extraordinary moment totally overlooked by the western media is how the events in Egypt represent al Jazeera’s coming of age. For media coverage of the events in North Africa, al Jazeera has consistently proven that it is the equal with any global television channel and deserving of wide dissemination. Tunisia, Egypt and Libya should prove their breakthrough moment for their brilliant and unwavering coverage of events, much as the 1991 Gulf War catapulted CNN into worldwide prominence.
“Walk like an Egyptian.” To those plutocratic governments that have asset-stripped their populations for decades for the benefit of their affluent ruling class, the watchword is now, “Be afraid, be very afraid.”
Long oppressed Middle Eastern peoples led by their tech-savvy youth have determined that their organized masses if tightly and consistently focused on Tahrir Square or elsewhere outweigh the repressive forces of the state if they are willing to accept casualties. Even beleaguered self-styled Libyan “King of Kings” ( or “Mad Dog,” if you prefer Reagan’s appellations) Moammar Qadaffi can’t kill them all.
As all repressive systems are ultimately based on the threat of using force to ensure the population’s passivity, this, along with the information age young spearheading the information revolution, are the true lessons of recent events in Tunisia, Egypt and Libya, while Bahrain, Saudi Arabia, Jordan and Yemen are on notice.
In America, technologically capable young people currently organize fun “flash mobs” or pants-less days – but certain elements deny them jobs for years and crush their employment opportunities while saddling them with decades of debt for their education, the future is not so bright.
As events in Wisconsin are proving, this is not solely an issue of the young, but of perceived assaults on declining standards of living imposed by spendthrift governments, as even America’s older working class is discovering ‘red lines.”
The turmoil transcends national boundaries – it is notable, though not reported in the American media, that Egyptian labor unions sent a message of solidarity after their protest began, thanking them for their earlier messages of solidarity, saying, “We stand with you now as you stood with us then.” America’s billionaires, relentlessly promoting globalization over the last three decades outsourcing American jobs abroad in search of increased Third World profits where labor is cheap, are now seeing some ‘blowback,” to use a CIA phrase.
We are all cheese-heads now. In the United States, 48 years after Dr. Martin Luther King delivered his stirring “I have a dream” speech at the base of the Lincoln Memorial, 45 per cent of young African-Americans have no jobs and the top hedge fund managers are paid, on average, $1 billion a year, a thoughtful American can only expect the mass protests against cuts in services and jobs in Wisconsin to spread.
And America’s propensity for eventual chaos is far higher than the Middle East, demonized in the press as a violent region, when one considers that America’s 300 million citizens have between 238 million and 276 million privately owned firearms.
As a prescient 23-year old from Hibbing, Minnesota, Bob Dylan warned an earlier generation 47 years ago about to embark on its misguided mission to safeguard and democratize in Vietnam, “There’s a battle outside and it is raging, It’ll soon shake your windows and rattle your walls, For the times they are a-changin’.”
America has older prophets on the current situation – as Thomas Jefferson observed, “A wise and frugal government, which shall leave men free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned – this is the sum of good government.”
Take heed, Governor Walker of Wisconsin and all the rest of you political leaders in Washington DC – or fuel up your learjets and head for the Cayman Islands.
Daly of the Global Intelligence Report, writes from Washington, DC, USA.
John Daly
Oil & Energy
Bill Prohibiting Gas Flaring Passes 2nd Reading
The Bill for an act to prohibit gas flaring, encourage commodity utilisation, and provide for penalties and remedies for gas flaring violations has passed its second reading in the House of Representatives.
Sponsored by the Member representing Ikorodu Federal Constituency (APC, Lagos), Babajimi Adegoke Benson, the bill seeks to prohibit the flaring and venting of natural gas, except in strictly regulated circumstances, while encouraging the utilisation of gas resources to foster economic growth and energy generation.
The proposed legislation aims to mitigate the environmental, health, and economic impacts of gas flaring, aligning Nigeria’s oil and gas operations with international climate change commitments.
Offenders, who violate the provisions of the proposed law, would face stringent penalties, including fines of $5 per 1,000 standard cubic feet of gas flared and potential suspension of operations for repeat violations.
Leading debate on the general principles of the bill, Benson said gas flaring has plagued Nigeria for decades, resulting to severe environmental degradation, public health crises, and economic losses while it environmentally, contributes to greenhouse gas emissions, global warming, and acid rain, exacerbating climate challenges.
The lawmaker said public health impacts of the practice are equally dire, as pollutants from gas flaring cause respiratory and cardiovascular diseases, particularly among residents of communities close to flaring sites.
According to him, economically, flaring results in the waste of a valuable resource that could otherwise be harnessed for energy generation or exported to generate revenue.
Benson insisted that the bill was designed to address those issues while bringing Nigeria in line with global standards such as the Paris Agreement on climate change.
“The bill provides for a comprehensive prohibition of gas flaring except in emergencies or when explicitly authorised by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
“Operators are required to submit and implement Gas Utilisation Plans, detailing how gas that would otherwise be flared will be captured, processed, or commercialised.
“Offenders, who violate these provisions, face stringent penalties, including fines of $5 per 1,000 standard cubic feet of gas flared and potential suspension of operations for repeat violations. Furthermore, the Bill ensures that communities affected by gas flaring are entitled to compensation and environmental restoration, creating a mechanism for redress.
“Transparency and accountability are integral to the enforcement framework of this Bill. Operators must submit regular reports on gas flaring incidents, which will be audited and made publicly available by the NUPRC. This approach ensures public oversight and stakeholder engagement, fostering trust and compliance.
“Nigeria’s adoption of this Bill positions the country to emulate such success, ensuring a balance between environmental stewardship and economic development.
“The implementation of this Bill will be overseen by the Nigerian Upstream Petroleum Regulatory Commission, which will monitor compliance through regular audits, enforce penalties, and facilitate gas utilisation projects in collaboration with operators and development partners.
“The Anti-Gas Flaring (Prohibition and Enforcement) Bill, 2024, is a timely and necessary response to one of Nigeria’s most pressing environmental challenges. Its provisions are both practical and forward-looking, addressing immediate concerns while laying the groundwork for a sustainable future.
“I urge all Honourable Members to support the Second Reading of this Bill as a demonstration of our collective commitment to environmental protection, public health and economic progress”, he added.
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Oil & Energy
‘Indigenous Companies To Gain From Shell’s Contract Awards’
Oil major, Shell, has restated its commitment to the development of Nigerian companies through contract awards and scaling up of expertise.
Managing Director, Shell Nigeria Exploration and Production Company ((SNEPCO) Limited, Ron Adams, made the remark while speaking at the Opening Ceremony of the 13th edition of the Practical Nigerian Content forum held in Yenagoa, Bayelsa State, with the theme “Deepening the Next Frontier for Nigerian Content Implementation”.
Represented by the Manager, Business Opportunity, SNEPCO’s Bonga South-West Aparo Project, Olaposi Fadahunsi, he said several benefitting companies had taken advantage of the patronage to expand their operations and improve their expertise and financial strength.
Adams said, “Shell companies execute a large proportion of their activities through contracts with third parties, and Nigeria-registered companies have been key beneficiaries of this policy aimed at powering Nigeria’s progress”.
He emphasized that Shell companies in Nigeria also continued to develop indigenous manpower through scholarship programmes with over 3,772 undergraduate and 109 Niger Delta post graduate scholarships since 2016.
“As we speak, beneficiaries of the 13th edition of the Niger Delta Post Graduate Scholarship awards are pursuing their studies in the United Kingdom. The employability rate of the scheme is high with over 98% of the graduates who won the awards securing employment in the oil and gas industry, academia and Information Technology, among other sectors, within one year of completing their studies”.
He commended the Nigeria Content Development and Monitoring Board (NCDMB) for ensuring compliance with the Nigerian Content Act saying “Nigerian content will continue to be an important part of Shell operations”.
The four-day conference hosted by the Nigerian Content Development and Monitoring Board (NCDMB) and participating companies reviewed progress on the development of Nigerian content pertaining to the implementation of the Nigerian Oil and Gas Industry Development (NOGICD) Act since it was enacted in 2010.
Shell companies in Nigeria are among the more than 700 oil and gas entities that participated in the forum with a strong message of support for Nigerian companies, having awarded contracts worth $1.98 billion to the businesses in 2023 in continuing effort to develop Nigerian content in the oil and gas industry.
Oil & Energy
NNPC Begins Export From PH Refinery
The Nigerian National Petroleum Company Limited (NNPCL) has sold the first cargo of Port-Harcourt low sulfur straight run fuel oil (LSSR) to Dubai-based Gulf Transport & Trading Limited (GTT).
The company is expected to load the cargo in the coming days onboard the Wonder Star MR1 ship, signalling the commencement of operations at the plant and the exportation of petroleum products.
The ship would load 15,000 metric tons of the product, which translates to about 13.6 million litres.
Although the volume coming from the NNPC into the global market is still small, the development has the potential to impact the Very Low Sulphur Fuel Oil (VLSFO) benchmarks in the future, while changing the market realities for Atlantic Basin exporters into Nigeria and other regions.
The sulfur content of the export by NNPC stands at 0.26 per cent per wt and a 0.918 g/ml density at 15°C, according to Kpler, a data and analysis company.
The cargo was reportedly sold at an $8.50/t discount to the NWE 0.5 per cent benchmark on a Free on Board (FOB) basis.
Kpler reported that the development would help displace imports from traditional suppliers in Africa and Europe, as Nigeria’s falling clean product (CPP) imports are already decreasing, dragging imports into the wider West Africa region lower as well.